HEARING SOME OF THOSE PROJECTIONS, YOU GOT THE SENSE THIS WAS A REALLY PIVOTAL DAY. STATE LEADERS COMING TO GRIPS WITH HOW SERIOUS AND LONG THIS DOWNTURN COULD LAST. I WANT TO RUN YOU THROUGH WHAT HAPPENED AT A MEETING WITH THE STATE BOARD OF EQUALIZATION. THEY VOTED TO CERTIFY A REVENUE SHORTFALL THAT LET’S THE STATE MOVE MORE THAN $400 MILLION FROM ITS SAVINGS’ ACCOUNTS TO STOP CUTS IN THE NEXT FEW MONTHS, LIKE LAWMAKERS WANTED A FEW WEEKS AGO. IT’S THE END FOR NOW OF A FIGHT BETWEEN THEM AND THE GOVERNOR OVER THAT ISSUE, BUT THOSE NEW ESTIMATES FOR NEXT YEAR’S BUDGET, NEXT YEAR’S BUDGET, WHICH STARTS JULY 1, COULD BE CUT AS MUCH AS 7.5%. IN THE YEAR AFTER THAT, THE 2022 BUDGET COULD SEE AN 8.2% CUT, AND WE WOULD BE OUT OF SAVINGS. THE GOVERNOR SAYING WE HAVE REALLY TOUGH TIMES AHEAD. QUITE OKLAHOMANS ARE HURTING -- >> OKLAHOMANS ARE HURTING, AND THIS IS JUST A PROJECTION, BUT OF THE STATE GOVERNMENT’S BUDGET IS GOING TO BE HURTING FOR THE NEXT COUPLE YEARS AS WELL. WE’RE GONNA HAVE TO TIGHTEN OUR BELT JUST LIKE OKLAHOMA HOUSEHOLDS ARE, BUT WE ARE IN THIS TOGETHER. >> LAWMAKERS ARE TRYING TO RIGHT THAT BUDGET THAT STARTS ON JULY 1. IT HAS GOT TO BE DONE BY MAY 29. THAT IS COMPLICATED, NOT ONLY BY THE FACT WE HAVE SUCH SIGNIFICANT SHORTFALLS, BUT ALSO BY THE FACT THE LEGISLATURE IS NOT MEETING LIKE IT USUALLY DOES YOUR THE CAPITAL BECAUSE OF SAFETY AND HEALTH CONCERNS.

State leaders are coming to grips with just how bad Oklahoma’s economic downturn could get after the Board of Equalization declared a $416 million revenue failure for fiscal year 2020. The decision to declare a revenue failure effectively lets the state move $400 million from its savings accounts to stop cuts in the next few months, like lawmakers wanted. It also marks the end, for now, of a fight between lawmakers and Gov. Kevin Stitt over that issue.During the Board of Equalization’s virtual meeting Monday, Jay Doyle, the executive director of the Oklahoma Tax Commission, presented an updated look at how the COVID-19 coronavirus crisis and plunging oil and gas prices are affecting revenue forecasts for fiscal year 2021, which begins July 1. The latest projection shows that $6.878 billion of spending authority would be provided to the legislature.The number is $1.366 billion less than what was provided in the Board of Equalization's February report, according to the news release.State officials said the budget could be cut by as much as 7.5% for the next fiscal year. Then, in the year after that, estimates mean another 8.2% could be cut, meaning Oklahoma would be out of savings.Stitt said tough times are ahead for Oklahoma.“Oklahomans are hurting, and this is just a projection, but the state government’s budget is going to be hurting for the next couple years as well,” Stitt said. “We’re going to have to tighten our belt, just like Oklahoma households, but we’re in this together.”State lawmakers are busy writing the next budget, which starts July 1. They might have to get it completed by May 29, a process that is made even more difficult at the moment considering the Legislature is not meeting in person. "I want Oklahomans to know that the Legislature will need to be fiscally conservative when it writes the (fiscal year) 21 budget," Gov. Kevin Stitt said in the release. "Even if we took our savings account down to zero, we would still have 7.5% less to spend than in FY20, and we’ll likely have another significant drop for FY22."These are difficult times for people across our state, and I want the Legislature and Oklahomans to have the latest information as we work on next year’s budget."

OKLAHOMA CITY —

State leaders are coming to grips with just how bad Oklahoma’s economic downturn could get after the Board of Equalization declared a $416 million revenue failure for fiscal year 2020.

The decision to declare a revenue failure effectively lets the state move $400 million from its savings accounts to stop cuts in the next few months, like lawmakers wanted. It also marks the end, for now, of a fight between lawmakers and Gov. Kevin Stitt over that issue.

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During the Board of Equalization’s virtual meeting Monday, Jay Doyle, the executive director of the Oklahoma Tax Commission, presented an updated look at how the COVID-19 coronavirus crisis and plunging oil and gas prices are affecting revenue forecasts for fiscal year 2021, which begins July 1. The latest projection shows that $6.878 billion of spending authority would be provided to the legislature.

The number is $1.366 billion less than what was provided in the Board of Equalization's February report, according to the news release.

State officials said the budget could be cut by as much as 7.5% for the next fiscal year. Then, in the year after that, estimates mean another 8.2% could be cut, meaning Oklahoma would be out of savings.

Stitt said tough times are ahead for Oklahoma.

“Oklahomans are hurting, and this is just a projection, but the state government’s budget is going to be hurting for the next couple years as well,” Stitt said. “We’re going to have to tighten our belt, just like Oklahoma households, but we’re in this together.”

State lawmakers are busy writing the next budget, which starts July 1. They might have to get it completed by May 29, a process that is made even more difficult at the moment considering the Legislature is not meeting in person.

"I want Oklahomans to know that the Legislature will need to be fiscally conservative when it writes the (fiscal year) 21 budget," Gov. Kevin Stitt said in the release. "Even if we took our savings account down to zero, we would still have 7.5% less to spend than in FY20, and we’ll likely have another significant drop for FY22.

"These are difficult times for people across our state, and I want the Legislature and Oklahomans to have the latest information as we work on next year’s budget."